PPI payouts reach £10 billion - Insurance - News - Moneyfacts

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PPI payouts reach £10 billion

PPI payouts reach £10 billion

Category: Insurance

Updated: 28/06/2013
First Published: 28/06/2013

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Financial institutions paid out a total of £10.1 billion in compensation to customers affected by mis-sold payment protection insurance (PPI).

Figures released by the Financial Conduct Authority (FCA) showed twenty-four companies made up 96% of all complaints about PPI compared with sixteen firms which accounted for over 92% of all complaints in 2011.

Numbers of claims and complaints about mis-sold PPI have steadily increased since April 2011, following a High Court judgement passed in favour of regulatory PPI compensation measures.

Total compensation of £424 million was paid to customers during April this year, compared with £28.6 million in April 2011, reflecting the surge in demand from angry customers seeking compensation.

The mis-selling of PPI has become the biggest scandal to ever hit the banking sector. Millions of individuals have sought redress over the past two years as a result of being sold repayment cover when taking out loans, credit cards and mortgages, often when they did not require it.

What next?

How to independently claim back mis-sold PPI
Loan Calculator - Compare loan repayments and interest with our easy-to-use loan calculator

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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